1. Field of the Invention
The present invention generally relates to a method and system for determining appropriate buffer inventory for items associated with variable demand patterns.
2. Description of the Related Art
Typically, there are many problems experienced by supply/logistics chains from the point of use back through the source of supply. These problems include:                a) too many “not in stock” situations;        b) maintenance and/or repair personnel frequently “cannibalize” assets and inventory from other projects in order to meet a deadline;        c) workload priorities are constantly shifted;        d) lead times to repair and/or replenish-to-shelf are too long;        e) too much inventory is “in-work”;        f) expeditious repairs are routine;        g) inventory turnover of consumables and repairable items are too low;        h) too much of some inventories and not enough of other inventories;        i) unpredictability and/or variation in demand;        j) significant manpower is spent maintaining, preserving, inventorying, and stockpiling material;        k) negative effects on morale resulting from non-value added activities; and        l) frequent disagreements between supply and consumers over the types and quantities of inventories to stock and where to locate such inventories.        
What is needed is a new method and system for accurately determining an appropriate buffer inventory that solves and/or eliminates the aforesaid problems and deficiencies of supply and logistic chains.